CapitaLand asks bourse to delist CMA

PROGRESS: As of 5pm on Wednesday, CapitaLand's stake in CapitaMalls Asia had hit 92.7 per cent.


    Jun 06, 2014

    CapitaLand asks bourse to delist CMA

    CAPITALAND yesterday said its ownership of CapitaMalls Asia (CMA) had crossed the 90 per cent threshold, meaning it could delist the shopping-mall operator from the Singapore Exchange.

    CapitaLand, South-east Asia's biggest property developer, offered in mid-April to buy out minority shareholders in its then 65 per cent-owned CMA at $2.22 per share, a 23 per cent premium on the last closing price of $1.80. It later raised the offer price to $2.35.

    As of 5pm on Wednesday, shareholders holding 11.5 per cent of CMA had accepted CapitaLand's offer to buy CMA at $2.35 per share, taking CapitaLand's stake in the company to 92.7 per cent.

    Now, having cleared the threshold, CapitaLand said it had submitted an application to the bourse for the delisting of CapitaMalls. Chief executive Lim Ming Yan said the offer would allow CapitaLand to better leverage resources across the group's businesses to maximise overall project returns.

    CMA shares will be suspended from trading after the close of CapitaLand's offer for the group on Monday, unless it is extended.

    There has been a spate of acquisitions in Singapore's real-estate sector over the past two years, as tycoons take advantage of depressed prices to delist property firms.

    A consortium including Singaporean billionaire Ong Beng Seng and Wheelock Properties (Singapore) increased its offer price for a stake in Hotel Properties early last month.